1. On 5-11-1981 truck No. JKN 893 belonging to respondent No. 3 and insured with the petitioner was being driven by respondent No. 2, driver of respondent No. 3, when it hit army vehicle owned by respondent No. 1, the Union of India near Talab Kunjwani, Jammu, on the Jammu-Pathankot National Highway. As a result of the accident the army vehicle of respondent No. 1 was severely damaged and the loss was assessed at Rs. 42,000/-. Respondent No. 1 accordingly filed a suit in this High Court for the recovery of a sum of Rs. 42,000/-. The suit was transferred for disposal in accordance with law to the file of Addl. District Judge, Jammu. The suit was resisted & in the written statements one of the preliminary objections raised was that the civil court has no jurisdiction to entertain the suit for adjudicating the claims of compensation in respect of damage to any property of a third party arising after the application of the Motor Vehicles Act, 1939, to the State of Jammu & Kashmir and that the Jurisdiction to decide such claim for damages, if any, vests in the Motor Accidents claims Tribunal (hereinafter referred to as the Tribunal). On the basis of the preliminary objection, the follow

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